1. 9. Cash versus shares as payment [LO 26.3] In Problem 8, are the shareholders of Firm...

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1. 9.

Cash versus shares as payment [LO 26.3] In Problem 8, are the shareholders of Firm T better off with the cash offer or the share offer?

At what exchange ratio of B shares to T shares would the shareholders in T be indifferent between the two offers?

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